Consider the following statements about the importance of controlling:
(A) Under judging accuracy of standards, a control system helps to review and revise the standards in light of changes.
(B) Under ensuring order and discipline, controlling helps to minimise dishonest behaviour on the part of the employees.
(C) Under facilitating coordination in action, employees know well in advance the standards on which they will be appraised.
(D) Under improving employee motivation, controlling provides direction to the activities and efforts of the organisation.
(E) Under accomplishing organisational goals, the control system brings to light the deviations and indicates corrective action.
Which of the statements given above are correct?
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → (A), (B) and (E) only
(A) Under judging accuracy of standards, a control system helps to review and revise the standards in light of changes. — Correct. A good control system keeps a check on changes inside and outside the firm. It then helps to review and revise the standards.
(B) Under ensuring order and discipline, controlling helps to minimise dishonest behaviour on the part of the employees. — Correct. A close check on the activities of employees helps to minimise dishonest behaviour.
(C) Under facilitating coordination in action, employees know well in advance the standards on which they will be appraised. — Incorrect. Knowing the appraisal standards in advance belongs to improving employee motivation.
(D) Under improving employee motivation, controlling provides direction to the activities and efforts of the organisation. — Incorrect. Giving direction to all activities and efforts belongs to facilitating coordination in action.
(E) Under accomplishing organisational goals, the control system brings to light the deviations and indicates corrective action. — Correct. Controlling measures progress towards goals, brings deviations to light and indicates corrective action. This keeps the firm on the right track.
NCERT (2026-27 Edition): “(i) Accomplishing organisational goals: The controlling function measures progress towards the organisational goals and brings to light the deviations, if any, and indicates corrective action. It, thus, guides the organisation and keeps it on the right track so that organisational goals might be achieved.” “(ii) Judging accuracy of standards: A good control system enables management to verify whether the standards set are accurate and objective. An efficient control system keeps a careful check on the changes taking place in the organisation and in the environment and helps to review and revise the standards in light of such changes.” “(iv) Improving employee motivation: A good control system ensures that employees know well in advance what they are expected to do and what are the standards of performance on the basis of which they will be appraised. It, thus, motivates them and helps them to give better performance.” “(v) Ensuring order and discipline: Controlling creates an atmosphere of order and discipline in the organisation. It helps to minimise dishonest behaviour on the part of the employees by keeping a close check on their activities. …” “(vi) Facilitating coordination in action: Controlling provides direction to all activities and efforts for achieving organisational goals. Each department and employee is governed by predetermined standards which are well coordinated with one another. This ensures that overall organisational objectives are accomplished.” |